Redwood Bank has expanded its lending options for residential landlords with two new bridging finance products, targeting both property purchases and refurbishment projects. The move comes as demand for short-term property finance remains strong, particularly among investors needing flexible funding solutions.
The first product covers standard bridging loans for landlords acquiring properties, refinancing existing loans, or exiting developments. The second focuses on refurbishment lending, providing capital for improvements that increase a property’s value or make it more attractive to long-term mortgage lenders. Both loans offer terms of six, nine, or 12 months, with extensions available up to an additional 12 months.
Unlike many bridging lenders, Redwood’s products include a structured path to term financing. Borrowers can transition directly into Redwood’s longer-term investment mortgages, avoiding the need to shop elsewhere for permanent funding. The bank’s underwriting team remains accessible throughout the process, a feature designed to appeal to landlords prioritizing speed and certainty.
Stuart Davidson, Redwood’s chief commercial officer, framed the launch as a logical extension of the bank’s existing residential lending business. “Bridging finance is a natural next step for Redwood as we continue to grow our lending propositions,” he said. “We know our customers and brokers value speed, clarity, and certainty, particularly when dealing with time-sensitive property transactions. This launch allows us to further support residential landlords, whether they are acquiring a property, carrying out improvements or managing a transition between funding arrangements. Importantly, it also strengthens our ability to build long-term relationships by supporting customers as their property portfolios develop and grow.”
Related: Understanding Bridging Finance for Quick Property Purchases
The refurbishment product includes an incentive for energy efficiency upgrades. Borrowers who improve a property’s Energy Performance Certificate (EPC) rating through funded works may qualify for Redwood’s Green Reward cashback when they later refinance into a term mortgage. The bank’s existing 100% valuation cashback offer also applies to these bridging loans, providing additional value for investors.
While bridging finance has long been a niche tool for property investors, its use has grown as auction purchases and refurbishment projects become more common. The products are aimed at landlords looking to move quickly, including those purchasing at auction, funding refurbishment works or bridging a gap before longer-term financing is secured.
Borrowers will still face typical bridging loan risks—high interest rates, short repayment windows, and the need for clear exit strategies. However, Redwood’s integration of term financing options reduces some of that pressure by offering a built-in solution for those who can’t or won’t secure long-term funding elsewhere.
